EEF, the manufacturers’ organisation, has called on the Government to clarify reciprocal rights for workers from the EU, as a matter of urgency, after it found in a significant decrease in job applications for skilled posts at a quarter of manufacturers.

Negotiations in the third round of EU-UK talks start this week, focusing on rights for EU workers in Britain after the EU membership ends.

The survey is contained in a report published today “and comes on the back of last week’s official data on migration.

EEF has published a report, ‘Making migration work for manufacturers: Accessing skills in a post-Brexit world,’ with a survey corresponding with recent migration data showing a quarter of manufacturers had applications from EU nationals decrease since the Brexit referendum, whilst sixteen per cent saw an increase in EU workers leaving their business.

Two thirds of manufacturers said they recruit from across Europe due to an insufficient number of UK applicants, whilst a third do so because the necessary skills are not available in the UK labour market.

Manufacturers interviewed for the report said they need unfettered access to ‘appropriate workers’ with the skills industry needs, adding that European employees should be able to come to the UK to work for up to five years. The ability to apply for permanent residence should follow on after that time has elapsed.

Tim Thomas, EEF Director of Employment and Skills, said: “Preventing industry from being able to recruit the best skilled workers from the EU could stifle growth, damage British industry and the UK economy as a whole.

“As a priority, the Government should clarify the reciprocal rights of EU nationals in the UK and British nationals currently working in other EU member states. At the same time, ministers must map out a new model for immigration to come into force when the UK leaves the EU, including a phased implementation over a sustained period.

“Skills shortages are endemic in manufacturing and engineering, and any points based-type system would choke off the skills needed by this sector. A highly-skilled STEM route should be introduced to enable non-EU STEM professionals to seek work in the UK without a job offer within a reasonable timeframe.”